When you need a new heating or cooling system – or you’re stuck with a big repair bill for your HVAC – it can be stressful. Coming up with the cash may be difficult, putting it on a credit card means paying a lot more in interest, and bank loans can be a challenge to get.

Fortunately, there is another option to help you upgrade your HVAC without getting into a cycle of debt. Let’s take a look at HVAC financing.

What Are HVAC Loans?

HVAC loans are similar to vehicle loans or other loans. Instead of paying all at once, you can spread out the costs of your big purchase, such as an HVAC system, over several months or years to make it more manageable.

If you need an HVAC system quickly, meaning you can’t wait until you save the money, a loan is a great option. However, the amount you can borrow depends on your credit score. If your credit is good, it’s much easier to get a loan. If it’s not, you may not be approved for as much as you need.
There are numerous options for loan types for HVAC financing. These include:

HVAC Company Financing

One of the simplest ways to pay for your HVAC system is through your HVAC company. Many HVAC companies, including JW Plumbing, Heating and Air, offer competitive rates that are ideal for many budgets.

Depending on your credit score and circumstances, your HVAC company may be able to set you up with a customized payment plan that works for your needs. Even if you feel comfortable paying for your new system upfront, it’s worth learning more about your financing options to make the payments more comfortable – especially if you can get a better rate.

Bank Financing

Many homeowners rely on a bank loan when they need new appliances or home improvements. This is often a good option, especially if you already have a mortgage or car loan and a positive history with the bank.

That said, there are some disadvantages, including:
  • Higher interest rates
  • Long wait times
  • A stringent application process

Credit Union Financing

Credit unions offer a lot of advantages over a bank loan, including lower interest rates that contribute to a lower cost for your appliances overall. If you’re a member of the credit union, the process to get a loan is often less stringent than a bank, since it considers not only your credit score but your employment history, history of on-time payments, and community involvement.

Not everyone is eligible for a credit union loan, however. First, you have to be a member of the credit union. If you’re not, you have to find a credit union and go through the application process, which can take a lot of time.

Government FHA Title 1 Loans

If you’re not eager to use the equity in your home to get a loan (a secured loan), government Federal Housing Association (FHA) loans may be a good choice. You may be able to apply for a loan up to $7,500 without collateral like a car or home.

Think this is the right option for you? Find out more from the FHA website.

What About Credit Cards?

Credit cards are often used for emergencies or to finance large purchases, such as an appliance or home improvement. Unfortunately, many credit cards come with high-interest rates that could leave you in a cycle of debt, paying much more than the original cost of your purchase.

If you want to use a credit card, look for cards with low or zero Annual Percentage Rate (APR) finance terms. If it’s a promotional offer, be sure to check when you’ll start owing interest and make sure you can pay the purchase off in full before that time.

Key Points to Consider When Taking Out a Loan

It’s important to evaluate your options and read the fine print for your financing options. Here are some things to consider:


The APR is the percentage that represents the yearly cost of funds over the term of the loan. It’s listed on your loan contract or credit card contract. The lower your APR, the less you’ll pay for your purchase overall.

Monthly Repayments

When you’re considering loans, think about whether you can manage the monthly payments alongside your other bills. You don’t want to leave yourself with no money left over once your bills are paid, especially if you have unexpected expenses and you’ve already used your credit card or loan options.


It takes some work to find the best discounts, interest rates, and promotional deals for financing. Shop around a little and compare your options.

Some local utility companies offer rebates for energy-efficient upgrades as well. Check the Database of State Incentives for Renewables & Efficiency to get more information. You may also have options for rebates or tax credits under the Inflation Reduction Act (IRA).

Lender Fees

Different lenders have different fees, so it’s important to compare different lenders. Otherwise, you may end up with penalty payments or high rates.

The Benefits of HVAC Financing

When you work with a reputable HVAC company, such as JW Plumbing, Heating and Air, you have financing options to purchase the best HVAC system for your needs. Though it can be a high upfront cost, it’s worth the long-term savings with lower energy bills and fewer repairs.

JW Plumbing, Heating and Air offers several financing plans for HVAC systems. Speak with our advisors to explore your options and come up with a personalized financial plan according to your budget.

Ready to finance and install your new HVAC system? Contact us at JW Plumbing, Heating and Air today!

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